Bitcoin Slips Below $84K Amid Rising Treasury Yields and Fed Hike Expectations

Bitcoin's price has fallen below $84,000 as the US 10-year Treasury yield reached its highest level since 2007. The 10-year yield closed at 5.11% on Wednesday and rose to 5.13% intraday. This increase in yields makes borrowing costs higher for investors, potentially weighing on Bitcoin's price.

The US Treasury announced a $6 billion ceiling for its Thursday bond buyback of bonds with roughly 20 to 30 years remaining. This move is intended to improve liquidity in long-dated debt and has contributed to the rise in Treasury yields.

Analysts believe that the Federal Reserve will raise interest rates again in October, with a 75.3% probability of a hike to 4.00-4.25%, according to CME Group's Fedwatch tool. This would further increase borrowing costs and potentially put pressure on Bitcoin's price.

Despite this, Bitcoin has historically performed well in the month of October, averaging a 19.92% gain over the past 13 years. However, the market remains cautious as investors await the outcome of the Federal Reserve's decision.